First Gas procuring add’l 5-day fuel supply due to Malampaya constraint

by Myrna Velasco, 14 May 2015
from Manila Bulletin

The operating firms of the 1,000 megawatts Sta. Rita and 500-MW San Lorenzo power plants will be piling up on liquid fuel due to the prevailing gas flow constraint at the Malampaya gas field.

According to First Gen president Francis Giles B. Puno, the five units of their gas-fed plants are currently running on liquid fuel – taking it from their remaining fuel inventory during the gas field’s shutdown March 15-April 13 this year.

But since there is no specific commitment yet on when gas supply at the field will really turn stable, Puno has indicated that they have procured for additional five more days of supply.

“From today, our liquid fuels can still last for five days and we are procuring for additional supply,” he said.

On the company’s shift to condensate during the gas fields’ downtime, First Gen executives have noted that the price pressure had not been that much because prices were on slump when they purchased fuel last year.

Puno has emphasized  “there was even a point when the price of liquid fuel had gotten cheaper than gas.”

In the coming days, if the gas constraint at the Malampaya field would persist, he noted that the First Gas plants can still assure enough supply to the

It was indicated though that it will be the 1,200-MW Ilijan plant that will likely turn problematic. Currently, only one of its units is operating.

Despite previous worries of highly probable power outages during the summer months, Luzon grid system actually held even with the incessant rise in weather temperatures.

The calculated critical period will be until next month – although the anticipated most critical one will be this May.

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